Disclosure: The opinions and opinions expressed here belong to the authors solely and do not represent the views or opinions of the crypto.news editorial.
Michael Saylor plans to burn all of his Bitcoin (BTC). This means he’s burning your lifeboat safely from inflation. Saylor’s MicroStrategy plans to increase the number of BTC it retains. The accumulation plan raises questions again about the bitcoin shortage, and raises questions that arise when there are few entities who have acquired such a large supply.
You might like it too: Cryptocurrency’s best ideas never launch | Opinion
Saylor says he wants to hold 1% of his overall Bitcoin supply. Certainly, he is trying to get as much BTC as possible for himself. His plan to burn his entire stash should raise more brows than it has, sparking heated debates about the impact of Bitcoin on its overall resilience.
It’s not that it’s my business, but I’ve been thinking recently about all the reasons Michael Saylor, as a prominent Bitcoin advocate and owner of Bitcoin through micro-tactics, should absolutely not destroy his Bitcoin through Burning under any circumstances.
It’s like burning a lifeboat on the Titanic when it sinks
Burning Bitcoin refers to the process of permanently removing BTC from circulation by sending a transaction to an address that is inaccessible or unavailable. Saylor was able to use his Bitcoin to promote his legacy. He was able to donate funds to Bitcoin developers and build libraries, hospitals and public squares. His name could appear in public spaces around the world.
There are also many technical reasons why Saylor should not burn his Bitcoin on his death, instead strengthening his already impressive legacy and not using them to directly invest in Bitcoin’s future.
Many BTCs are already lost forever as a result of lost private keys, hardware issues, and more. It is estimated that around 17-23% of all BTC have been lost since 2011, including wallets that were thought to belong to Nakamoto Sato Island. Lost BTC contributes to the lack of assets. Therefore, Bitcoin is even scarce than the 21 million people hardcoded to exist.
Bitcoin is an undevelopable asset. This means that if they are sent to irreparable bitcoin addresses, they cannot be reclaimed. You cannot mine any more Bitcoin. It’s part of Bitcoin’s brilliance, as has previously been featured in advertising nausea by the widespread voices of the so-called Bitcoin community.
Bitcoin is about centralized control, hedging against inflation, and excessive resistance in the state. Bitcoin is financial liberation. Burning Bitcoin symbolically undermines the rebellion. There will be less bitcoin to save people from inflation hegemony. There are few lifeboats.
Bitcoin’s 21 million supply caps are sacred. It mimics the natural rarity of gold. Saylor destroying his BTC leads to speculation about further burns and damages for the predictable issuance of Bitcoin, introducing arbitrar properties.
If Saylor destroys Bitcoin, the circular supply of Bitcoin will be reduced. This creates a shortage that could undermine Bitcoin’s financial capabilities. Any supply shock does not help Bitcoin’s transparency case.
Burning his bitcoin erodes confidence. Saylor supports the legitimacy of Bitcoin by saving his holdings and making effective use of them. By not destroying Bitcoin, Saylor encourages adoption and strengthens its value. This is because they adopt Bitcoin adoption, which is the historical acceptance of digital assets. Saylor urges others to grab his bitcoin and put them in productive use at his will.
Saylor should ensure that it will remain part of the economic order of future generations in line with Satoshi’s healthy vision of money. If Saylor gives Bitcoin to his heir or has lost his trust and stores Bitcoin, Saylor bolsters Bitcoin as a currency network.
Saylor was able to use his BTC to support his role as a breakwater against statistics and healthy money examples. Burning Bitcoin weakens both Saylor legacy and Bitcoin at the same time.
Saylor may consider keeping his Bitcoin in the market through inheritance or charitable allocations to maintain his private property and economic productivity.
That being said, they are Saylor’s Bitcoin and he can do anything he wants with them. They add them to the millions of bitcoins already lost in Bitcoin history, making future supply more likely, and Bitcoin is likely to help the biggest people.
read more: Silent Payment: Upgraded Bitcoin Can’t Be Alone to Ignore | Opinion
Kadan Stadelmann
Kadan Stadelmann He is a blockchain developer, operational security expert and Chief Technology Officer of Komodo Platform. His experience ranges from working in operational security in the government sector, to launching technology startups, application development and encryption. Kadan began his journey into blockchain technology in 2011 and joined the Komodo team in 2016.
